Australian wine exports continue to rise in volume and value

Australia has seen a rise of 3.6 per cent in volume and 3.9 per cent in value of wine exports in the 12 months to end of March 2015 according to the latest Wine Export Approval Report March 2015, released today by the Australian Grape and Wine Authority (AGWA).

Andreas Clark, AGWA’s chief executive officer, said anecdotal evidence of a renewed interest in Australian wines globally was now being reflected in export figures.

“Some of the strongest growth is seen in the premium price segments and we’ll be continuing to champion Australia’s finest wines in our global marketing activities,” Clark said. “While the above $7.50 price segment accounts for just five per cent of total export volume, the value share is considerably higher at 27 per cent.”

Clark said there were a number of factors contributing to the growth over the past 12 months including the depreciating dollar and the commencement of the Japanese free trade agreement.

A rebound in the Chinese market from their austerity measures and improved economic conditions in two of our biggest export markets, the US and the UK had also facilitated growth, according to Clark.

The report found exports to China continued to recover with a 20 per cent increase in part due to a rise in bulk and bottled exports.

“Asia continues to be a key driver of growth with more than half of exports in the above $7.50 per litre segment shipped to Asian markets (up 13 per cent) with the average value of exports to Asia $18.77 per litre,” Clark said. “The biggest Asian market is still China but Japan has also seen strong growth as has emerging Asian markets such as Thailand, Malaysia, Taiwan and the Philippines.”

Over the last 12 months, Australian wine was exported to 123 destinations by 1,385 exporters with the majority (890 exporters) again recording volume growth.

Total Australian wine export volume increased by 3.6 per cent to 711 million litres and total value increased by 3.9 per cent to $1.85 billion while the average value of exports remained steady at $2.60 per litre, according to the report.

Despite growth in the Canadian market, there was a decline in export to the US with a drop of one per cent. Bulk wine exports increased by four per cent to 54 million litres while bottled wine exports fell by the same rate to 110 million litres.

The UK remained Australia’s biggest export market by volume, increasing by two per cent to 251 million litres and valued at $371 million litres.

‘Complementing the export growth, we continue to receive a positive response in-market to Australia’s presence at key events including ProWein and Vancouver International Wine Festival where Australia was the host country,” Clark said.